"The good news is that the quarterly growth rate has gone up from the 5.3% in the last quarter (January-March) of the previous financial year to 5.5% in April-June quarter," he said.

However, Ahluwalia added that the marginal improvement in the GDP growth cannot be called a strong rebound. "I didn't think that we would get strong rebound in the first quarter".

The economic growth, he added, would improve in the second quarter. "We did expect the rebound, so let us hope that in the second quarter and especially in the third, you will get the rebound."

As per the provisional GDP data released by the government today, the economic growth in the first quarter (April-June) stood at 5.5%. Although it was much lower than 8% in the corresponding period last fiscal, the growth showed improvement on sequential basis. The growth rate in January-March was 5.3%.

On growth prospects in future, Ahluwalia said, "A lot will depend on what happens to investments in public and private sectors. Most likely in the second half of the year those investments will improve".

As regards the annual growth rate in 2012-13, he said, although Prime Minister's Economic Advisory Council (PMEAC) has projected 6.7%, things would become clear by September 15.

Ahluwalia further said that growth figures for the last quarter (January-March 2011-12) could be revised upwards on account of difference in the Index of Industrial Production (IIP) data and corporate reports.

The most important thing is whether investment is picking up. I have seen some analysis which suggests that it is quite possible that the growth rate in the fourth quarter of last fiscal may get revised upwards because there is a difference between the IIP and corporate data.

"We will get better idea of it only two or three months from now", Ahluwalia said.